January 17 (Renewables Now) - The UAE Federal Electricity and Water Authority (FEWA) is seeking expressions of interest (EOI) for the development of a 500-MW solar project in the emirate of Umm Al Quwain.
The winning party, whether a single company or a consortium, will hold a 40% interest in the project, while FEWA and the government of Umm Al Quwain will own the majority with a 60% stake. The winner will design, build, finance and operate the solar power plant under the Independent Power Producer (IPP) framework and FEWA will buy the output of the facility under a long-term power purchase agreement (PPA).
Interested parties have time until January 23, 2020, to enter the process.
“The UAE Energy Strategy 2050 targets are 44% renewable energy; 38% gas; 12% clean goal and 6% nuclear. These targets will balance its economic needs and climate goals,” commented Tarun Bhutani, project manager at GlobalData.
The data analytics and consulting company estimates that the share of solar power generation in the UAE’s overall installed capacity will rise to 9.6% in 2025 and 14.8% in 2030 from 3.5% in 2019.